The Kenosha telegraph. [volume] (Kenosha, Wis.) 1860-1888, 1887-06-17
the firm to the effect that an abundance It

announcements from ~ D. AefSnaW q &C.
July options rallied, and closed at T51sc.
August closed at 1916, September 77s<c
December size
Mr.. Bailey was seen in his Office short
time after the announcement of the seere-
tary and to inquiries stated that 1t would
take several days to tell where the firm
stood; the drop had been an over
surprise to them and they
were unable to meet it. From other
sources it was learned that their
failure was precipltated by an I'M
usually large amount of outside deals,
which were open and could not be settled
quickly enough to meet margin calls. The
firm is thought to have started into the
deal with a capital of about 500, 900, and
was in good standing on the floor, this be-
ing their first embarrassment of any kind
so far as known. Good authority places
their dealings at the. close at $50, 900 bush
els which they were long on.
The sensational collapse did not squeeze
the local banks, and in fact had no serious
effect whatever on them. The banks have
been very conservative for some time
past in dealings relating to the fever of
speculation and over-confidence that
has been prevalent in all kinds of
business during the last two months,
and prominent bankers say that the local
money market is in first-class condition;
that the slight tightness that has
existed during the life of the wheat clique
was dissipatei by the break yesterday, and
thai now large amount of money that
was tied up in wheat will be in circulation
again. Well-known fnanciers say that the
failures yesterday will be warning to the
business men and spectators of the West,
and that the effect will Undue numbers of
men with a cautiousness and conservatism
Of which they were much in need.
The officials of the east-bound roads
from Chicago were all in good spirits yes
terday over the collapse of the wheat cor
ner, expressing the opinion that it would
let loose large amount Of wheat for stor.
age-more than the lake vessels could ac-
commodate-and that the railroads would
get portion of the overflow. One road
was hurt by the panic, as negotiations
were under way with it to move out 1000
carloads to New York at a reduction of
five cents a hundred from the tariff rate,
but the break interfered, and yesterday
the negotiations were declared off.
IN CINCINNATI.
CINCINNATI, June Is. -The very general
impression that Cincinnati furnished a
large part of the clique which has been
charged with managing the Chicago wheat
deal turned attention in this direction yes
terday when the panic in wheat in Chicago
developed. Mr.. j. w. Wiltshire, who has
been publicly named as one of the mys-
terious members, fatty declared, when
asked for information as to the cause of
the trouble, that he knew nothing about
it. Others who were suspected of being
in the deal were equally reserved. One
of the leading men of the supposed clique
said he did not believe Cincinnati men
were in it at all, and that it was made up
of operators in California and Cleveland.
Whatever the truth may be there is no
sign of any suffering here.
A prominent broker, being asked his
opinion of the truth of the charges made
by Resented IL Co. that the Cincinnati
members of the clique had failed TO fur
nish money to-day, said it was more likely
that the market was broken in Chicago by
lying about Cincinnati banks. ''Why,"
said he, .there were fifty or more
kilograms received on change to-day
saying; Wheat weak, owing to re-
port of run on Fidelity Bank or
wheat weak, account rumors weakness
Cincinnati banks.'" The Fidelity Bank
has received from number of correspond
ents an anonymous printed circular in
tended to injure the banks standing They
were mailed from this city June 10, II and
~, and seem to have been the origin of the
rumors. The officers of the Fidelity Bank
are making a rigid search for the author of
nj low Tn Of hi in l1o
likeness of a run the bank was busy receiv-
ing deposits.
IN MILWAUKEE,.
MILWAUKEE, Wis, June Enlightenment
on the Board of Trade was intense yester-
day. The clicking of the telegraph keys
was incessant and messages from Chicago
followed each other thick and fast The
failure of the clique houses and the report
ed run on the Fidelity Bank at Cincinnati
added to the excitement. At noon Hill,
Flertzheim & Co., the Milwaukee housepof
c. ]. Kershaw & Co., of Chicago, threw
up the sponge and confessed an inability
to pay 500, 900 on margins to Frank Will
son. 1t was also understood that another
of Kershaw's Milwaukee brokers had 300
900 bushels on his account margined at
80 cents, loss of nearly $4,000 more.
Hooker, Crittenden & Co. were also
brokers for Kershaw, and it was feared
that they could not survive. S. T. Hooker
said he thought he would be all right, but
was not able to say then; in fact, the solv-
ency of the three houses mentioned depend
upon Kershaw & Co. On the afternoon
board it was reported that Joseph Wilde, a
broker, had thrown up the sponge. The
scenes recall to old time brokers the ex-
element of 1877 and the days of super
dollar wheat.
When the first dispatches were received
from Chicago showing that alarm was
prevailing there and panic in prices
about to prevail brokers here became in.
tensely nervous, and began to offer hold
ings without number, but takers could not
ne found. The July option was the one
dealt in here most and it broke rapidly fol-
lowed by the others. Brokers who had
deals had to stand by and shoulder losses
because no one would have the stuff at
any price, while brokers fairly crawled
over each other to get to the pit to offer
their wheat. July wheat sold off from
S0Tc to 731(c.
IN NEW YORK.
New YORK, June 15.-The wheat market
the decline at Chicago, AMI great excl te
ment followed. Reported heavy receipts
at the West and the report that the
clique was broken depressed the market,
early months being weakest. At one p.
m, after the report of the failure of bic
bull house in Chicago, the excitement was
intense. Wheat continued nervous, the
extreme decline being AZ cents on July.
Jane comes next with break of cents,
and on later months an irregular decline
of to ~ cents. The option dealings
reached nearly 30,0OO,O0O bushels, the
largest ever recorded. Corn sympathized
with wheat, and spots were a cent and
futures Il to % cents lower.
IN ST. LOUIS.
ST. LOUIS, June 15.-There was a great
deal Of excitement on 'ehange yesterday
over the great tumble in the price of
wheat in Chicago, especially as the crowd
has been and is still very bearish, and has
been playing the short side both here and
in Chicago. AS the break progressed in
Chicago very heavy offerings were mads
here, but there was also active buying by
shorts. The decline, therefore, was not
great, being less than 2 cents, with a
slight recovery at the close.
AT OTHER POINTS.
BALTIMORE, Nd, June 15.-Th3 Balti.
more wheat market broke yesterday
cents on spot and 2s< cents on futures